John Ourand of Puck reports that NBC Universal had the right of first refusal prior to ESPN’s successful bid for the media rights of WWE’s Premium Live Events.
NBCU’s last bid was reported at $275M per year although the duration and content of the deal was not reported. ESPN’s bid was for $325M per year for 5 years and includes 10-12 PLEs. At some point it attempted to solicit bids for just the two night Wrestlemania.
The deal with ESPN does not include access to the WWE library which is key. Peacock will have WWE PLEs until March 2026 when the contact expires.
Payout Perspective:
Is there anything that we can extrapolate from NBCU deciding not to pursue the WWE deal and allowing it to sign with ESPN? First, the price tag does seem huge for just the company’s key events. Second, it shows ESPN’s need to fill its new direct-to-consumer platform with content. Also, it opens a path for UFC’s return to ESPN. Disney is spending tons of money on live content, but renewing the UFC, even just for its numbered PPVs, would be a huge success as young adult males love it.
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